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Gold Price Rises Above $2,000 as War in Ukraine Boosts Haven Demand

  • Bullion prices hit the highest since Aug. 2020, nearing record
  • Holdings in gold-backed ETFs climb to highest in a year
Updated on

Gold surpassed $2,000 an ounce after the U.S. said it may ban Russian oil exports in retaliation for President Vladimir Putin’s invasion of Ukraine, raising concern about higher inflation and slowing economic growth. 

Bullion extended its biggest weekly advance since July 2020 after U.S. Secretary of State Antony Blinken said on Sunday that America and its allies are discussing an embargo of Russian oil. That could further reduce expectations for the Federal Reserve to aggressively hike interest rates this year to deal with what is already the highest inflation in 40 years.